In the Specific Factor Model,the Effect of an Increase in the Productivity

question 31

Multiple Choice

In the specific factor model,the effect of an increase in the productivity of labor in the production of food will cause a(an) ________ in the quantity of labor used to produce cloth,a(an) ________ in the quantity of labor used to produce food and a(an) ________ in the wage rate.

• A) decrease; increase; increase
• B) increase; decrease; increase
• C) increase; decrease; decrease
• D) decrease; increase; no change
• E) increase; increase; no change

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